REG - S.N.G.N. Romgaz S.A. - Current Report - Electrocentrale Buc._Nov.18,2015 <Origin Href="QuoteRef">ROSNG.BX</Origin>

Societatea Nationala de Gaze Naturale Romgaz SAAnnouncement

05/01/2016 13:38

RNS Number : 1220G
S.N.G.N. Romgaz S.A.
18 November 2015
CURRENT REPORT
In compliance with the Romanian Capital Market Law No. 297/2004, Art.224 and
CNVM Regulation No. 1/2006
Report date: November 18, 2015
Company name: Societatea Nationala de Gaze Naturale ROMGAZ S.A.
Address: Medias, 4 Constantin I. Motas Square, Sibiu County - Romania, 551130
Phone/fax no: 004-0269-201020 / 004-0269-846901
Fiscal Code: RO14056826
Trade Register registration number: J32/392/2001
Subscribed and paid in share capital: 385,422,400 RON
Regulated market where the issued securities are traded: Bucharest Stock Exchange (BVB), London Stock Exchange (LSE)
Significant event to be reported:
  S.N.G.N. ROMGAZ S.A.will continue to supply natural gasto Electrocentrale Bucuresti S.A.
On November 16, 2015, S.N.G.N. ROMGAZ S.A.Board of Directors convened in an extraordinary meeting in order to review the contractual situation with Electrocentrale Bucuresti S.A. after having received from Electrocentrale Bucuresti S.A. a proposal to pay off its outstanding debts to S.N.G.N. ROMGAZ S.A. Receiving a debt payment calendar was a necessary and mandatory condition set by ROMGAZ Board of Directors for performing future contractual relationship with the aforementioned company. 
As such, ROMGAZ Board of Directors decided to continue supplying natural gas volumes required for heat production by signing a new contract with a term of one (1) month. A further step is to conclude by December 15, 2015 a convention establishing an outstanding debts payment schedule which is a mandatory condition for continuing the supply of gas to this company.
In this case, ROMGAZ Board of Directors has taken into account social consequences of a decision to stop contractual relations and identified the possibility of a financial flow including payment of supplied gas volumes as a result of Bucharest City Hall General Council resolution to approve a loan for financing its current expenditures for heat procurement from RADET.
Against this background, S.N.G.N. ROMGAZ S.A. makes the following statement:
the company is aware of the financial difficulties Electrocentrale Bucuresti S.A. is facing which are caused by financial difficulties of its customer, Regia Autonoma de Distributie a Energiei TermiceRADET Bucharest. It is the company's opinion that all parties should undertake great efforts to prevent future financial bottlenecks;
the company operates on a competitive market having the mission to protect both its own and its shareholders' interests.
 
 Director General,
 Virgil - Marius METEA

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